New federal funding might soon be coming for unemployed Texans

The unemployment rate in Texas, according to information from the U.S. Bureau of Labor Statistics.(Google)

Texas Gov. Rick Perry says he wants Washington to get out of Texas’ business — but this week the state actively sought DC’s help in an attempt to help jobless Texans.

Texas became one of the first states this week to apply for a waiver to enable it to open new funding for a program aimed at getting unemployed residents back to work.

The waiver request was sent after the Temporary Payroll Tax Cut Continuation Act was signed into law last week, allowing 10 states to be awarded waivers if they develop projects to help quicken the process of re-employing individuals who receive unemployment compensation.

The waiver opens up more financing options for certain programs, said Lisa Given, a spokeswoman for Texas Workforce Commission.

“As Texas continues to add jobs and lower its unemployment rate, we are encouraged that hiring incentive programs like this give states flexibility and can encourage continued hiring,” Givens said.

The program the waiver focuses on, the Texas Workforce Commission’s Texas Back to Work Initiative, gives employers up to $2,000 to hire Texans currently receiving unemployment insurance through the state.

Although the state initiative has helped place 24,000 people in jobs since it started in 2010, the waiver would allow the state’s unemployment compensation fund to give the initiative $100 million during the next three years. Current funding for the program comes from various allocations.

Givens said she believes that Texas is the first state to have applied for the waiver.

“I’m very proud that my state, which currently leads the nation in job creation, would ask to be the first to blaze a new trail to get people back to work,” said Rep. Kevin Brady, a Republican form The Woodlands. Brady was on the payroll tax conference committee that negotiated the deal.

“The federal unemployment system is a 1930’s style program that focuses on sending out payment checks,” Brady said. “Texas can show Washington innovative new ways to match local workers with local jobs quicker.”

Givens was not sure when a final decision would be made on the waiver request.